| Question | Answer |
| List the four supply shifters as they were presented in class. | Inputs, number of suppliers, supplier expectations, government policies
|
Draw and label a price ceiling on your paper. | varies
| Land, labor, and capital are known as ______________ | the factors of production
| Define Marginal Cost. | The cost of producing one more unit
| How do scarcity and shortages differ? | scarcity is forever
| What are four types of nonprice competition? | location, physical characteristics, ads, quality of service
| According to the Principles of Economics, what kind of people think at the margin? | Rational people
| List the four different types of economic systems. | Free, Command, Traditional, and Mixed
| Give an example of price discrimination. | Varies
| List five common goals found in all economic systems. | Freedom, efficiency, growth, security, and equity.
| What is one principle of the American free enterprise system that the 5th amendment protects? | Private Property
| Explain the Law of Supply. | The higher the price, the higher the quantity supplied.
| What do economists call the total value of all final goods and services currently produced within a country's borders, during a certain period of time? | Gross Domestic Product (GDP)
| How is profit calculated? | TR-TC
| Explain the difference between in-kind benefits and cash transfers. | In-kind benefits are goods and services given to those in need for free or at a reduced rate.
| Explain the Law of Demand. | The higher the price, the higher the quantity demanded.
| List the four different market structures from most to least competitive. | Perfect competition, monopolistic competition, oligopoly, and monopoly.
| List the four determinants of elasticity of demand as per our class notes. | Need v. want, substitutes? Portion of income, time
| List the five demand shifters from our class notes. | Income, population, tastes-prefs-fads-trends-ads, consumer expectations, price of related goods
| List two types of disequilibrium. | Shortage and surplus
| How is total revenue calculated? | QP |
